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Pay: Unlawful Deductions

Unlawful Deduction from Pay Solicitors: Employers are entitled to made deductions of tax, national insurance and other sums that may be ordered by a Court from your contractual pay.

Under s13 of the Employment Rights Act 1996, it is unlawful to make any other deductions from your pay unless

  • You have provided your written permission;
  • You have agreed to such deductions in your employment contract;
  • The deduction is to recoup an overpayment

There may be various circumstances in which employers make deductions which may be in breach of contract or which may be an unlawful deduction, including

  • overpayment of holiday when leaving part way through a holiday year
  • being dismissed summarily
  • failure to pay a contractual bonus or commission on leaving employment.

Call us today to discuss your situation.

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